Professional Documents
Culture Documents
Event Management Handbook PDF
Event Management Handbook PDF
1
Background
This handbook has been developed by a team of staff from partner institutions including Varna Free
University “Chernorizets Hrabar” VFU (Bulgaria), Fundacion Universidad Empresa Region De Murcia
(FUERM), Spain, Klaipeda Business and Technology College (KBTC), Lithuania and Liverpool John
Moores University, United Kingdom. Each has taken advice and guidance from both academic and industrial
bodies in the development of such. The handbook assists with the updating and development of staff
involved in the Organisation, Planning and Implementation of Events.
Authors:
Asta Beloviene is a Dean of Business Faculty has great experience in management of education process, communication between
different levels of training and social partners.
Remigijus Kinderis is a Lecturer of Tourism Administration Department, Director of the hotel “Pajuris “ in Klaipeda, author of
various tourism feasibility studies and projects.
Phil Williamson (FHEA, MSc Events, Cert Ed, DMS, BA) is a Senior Lecturer in Events Management. 12 years experience of
delivering to undergraduate, postgraduate, industry. Phil’s practitioner experience was with leading UK commercial event
organisations.
Tilcho Ivanov (Prof. Dr is a Professor in Branch Economics and Management and Economic Analysis at the University of
National and World Economy and Varna Free University “Chernorizets Hrabar”. He has more than 30 years of experience in
different economic sectors.
Carmen Anton Ortin is part of the staff of Fundación Universidad Empresa Region of Murcia (FUERM). She is graduated in
Marketing, public relations in companies and international commerce. 12 years professional experience in event management and
planning.
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Content
Introduction
Chapter 1. Events Planning Models
1.1 Event Definition
1.2 Event Models and the Management of the Events Process
1.3 Key Points on Planning
1.4 Convention, Conference Organizing
Reading list
Useful links
Chapter 4. Logistics
Chapter 5. Financing
5.1 Introduction
5.2 Budget
5.3 Income and Financing
Reading list:
4
Useful links:
5
Introduction
The events industry is a complex, dynamic environment and as such the aims of the handbook and future
interactive workshop(s) are to ensure that individuals working in the area of Events Planning, Organization
and Implementation are:-
Current in their knowledge of theory within the field and can apply it in appropriate professional
problem solving event situations.
Able to propose and evaluate solutions to problems arising in a professional events planning context.
Able to reflect on personal and professional practice and improve such within the field of adult
education.
Learn in a mutually supportive environment that values the experience of participants and enables
them to reflect upon, evaluate and value their own experiences.
Examine and understand a range of theoretical perspectives that can be applied to improve practice
and enable participants to be more effective practitioners in Events Planning, Organization and
Implementation within both their own organizations and countries.
Develop skills, knowledge, and experience in Organization, Planning and Implementation of Events,
and through analysis, develop programmes of actions that are responsive to and anticipate changing
circumstances within their own real world environments.
Demonstrate an understanding of relevant theory and how it can be usefully applied to organizations
wishing to hold an event to improve practice
Identify the essential issues within the organization, planning and implementation of events and the
relevance to their particular roles and responsibilities
Monitor, review and evaluate the processes and outcomes of new perspectives on the management of
events
Provide a flexible and coherent framework that assures the quality of the academic rigor and
management of the workshop(s).
Provide contemporary information to the needs of individuals and organizations.
To add to the learning experiences and knowledge base of both individuals and thereby their
organizations.
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The handbook consists of chapters, activities linked to appendices and relevant related additional resources
including websites. The chapters within the Handbook will form a complimentary, broad based approach to
the issues and concepts to be addressed at the present time. This allows sufficient flexibility so that the
project can be customized to meet the needs of individuals and organizations.
The specific content of each delivery / workshop will vary dependent on the participant country and market
context. Detailed versions of the core issues will differ as they are developed to cater for these markets and
needs.
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Chapter 1. Event Planning Models
Event definitions give us a starting point from which to progress. Many of the definitions below are from
academic / practitioners and do assist in that they can give focus and clarity. They are however contentious in
their nature, but do assist practitioners in engaging and debating with the subject matter.
“Events are temporary occurrences …They have a finite length, and for planned events this is usually fixed
and publicized.” (Getz 1997, p 4)
Getz (1997) further comments that “events are transient, and every event is a unique blending of its duration,
setting, management, and people”.
Within this quote, key words are evident and will be explored in further detail in future chapters. It does
however note the blending and linkages between the disciplines of management, time, staff, attendees
(people) and venue(s). Underpinning all will be the planning and organising of these resources.
“A unique moment in time celebrated with ceremony and ritual to satisfy specific needs.” (Goldblatt, 2005)
With regard to special events it is suggested that there is no one standardised definition as opinions vary. Due
to such lack of clarity, definitions from the perspectives of both event organizer and guest are used.
1. A special event is a one-time or infrequently occurring event outside the normal program or activities
of the sponsoring or organising body.
2. To the customer or guest, a special event is an opportunity for a leisure, social, or cultural experience
outside the normal range of choices or beyond everyday experience. (Getz, 1997, p.4)
“Special events are that phenomenon arising from those non-routine occasions which have leisure, cultural,
personal or organizational objectives set apart from the normal activity of daily life, whose purpose is to
enlighten, celebrate, entertain or challenge the experience of a group of people”
(Shone & Parry 2004, p. 3)
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A suggested
Leisure events categorization of
(leisure, sport,
recreation)
special events
Cultural events
Personal events (ceremonial,
(weddings, Special
sacred,
birthdays, Events heritage,
anniversaries) art, folklore)
Organizational events
(commercial, political,
charitable, sales) Source: Shone &
Parry 2004, p. 4
Typology of events
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Activity - Time 10 Minutes
From Getz’s typology of events give some specific examples under each of the above headings.
For example under (cultural celebrations) you could suggest:
festivals
parades
religious events
Further definitions.
“Major events are events that, by their scale and media interest, are capable of attracting significant
visitor numbers, media coverage and economic benefits“.
(Bowdin et al 2001 p.18)
… ‘Hallmark events’ refers to those events that become so identified with the spirit or ethos of a
town, city or region that they become synonymous with the name of the place, and gain widespread
recognition and awareness”.
(Bowdin et al 2001 p. 17)
“Major one-time or recurring events of limited duration, developed primarily to enhance the
awareness, appeal and profitability of a tourism destination in the short and/or long term. Such events
rely for their success on uniqueness, status, or timely significance to create interest and attract
attention” (Ritchie 1984, p.2)
“Mega-events, by way of their size or significance, are those that yield extraordinarily high levels of
tourism, media coverage, prestige, or economic impact for the host community or destination” (Getz
1997, p.6)
“Mega-events are those events that are so large that they affect whole economies and reverberate in
the global media. These events are generally developed following competitive bidding.” (Bowdin et
al. 2001 p. 16)
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Event categorization
Conclusion
There is a lack of an accepted and properly defined terminology within the events industry, and there is
debate over the term “business tourism” as an appropriate term to describe the sector which envelopes
conventions, conferences, exhibitions and incentive travel (Rogers, 2008). The term is generally accepted in
Europe, but in other parts of the world, for example Australia the term “business events” is recognized.
The acronym “MICE” (Meetings, Incentives, Conferences, and Exhibitions or Events) is also used. In
Canada the term MC&IT- meetings, conventions and incentive travel is utilized. The area is heavily laden
with such terminology and language which does make the study of such and debate within the industry
sometimes confusing.
The aim of this chapter is to provide an understanding of the processes involved in event management.
Participants will consider relevant theoretical perspectives on events management and apply them to their
own workplace and event contexts. It will give consideration to the main techniques available to the event
manager in creating, proposing, planning and managing a variety of events.
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Models are an initial useful starting point and can assist in a more structured and ordered approach to the
planning of events. There is no one model which fits all. It is for the event organizer to perhaps select and
engage with a model he / she finds useful, and one which they can understand, share with their colleagues /
stakeholders and add to or detract from.
These models are not set in stone, they need to be reviewed, but they may well assist as a reference point. As
a visual representation of the key areas of the event planning process they may well assist in an overall
perspective of the process, which can be broken down into both specific and inter – related parts. It is
suggested that you can formulate your own event planning models. What works best for you and your
organisation is the key.
The event planning models do assist with planning. In the fast moving world of events with perhaps ever
decreasing planning time, shorter lead in times and a more competitive environment it is vital that
organisations utilise and maximise all their resources efficiently and effectively and manage and control their
time management. Planning and the utilisation of event planning models may well be of assistance in this
area.
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Benefits of Planning
• It enables managers to detect and solve
problems
• Alternative strategies are highlighted for
consideration
• Staff responsibilities are clarified
• Uncertainty about the future is reduced, thus
minimizing resistance to change.
“Because of the unique nature of each special event, planning is a process that must continuously
occur from the start of the bid [initial idea] until the end of the event [evaluation and feedback]”
It is true that events can be staged without any formal planning or management structure. But as events
become larger, complex and demand greater resources in terms of finance, people, time and expertise all the
theories and techniques of business management can be applied.
It is not possible to evaluate an event, or to judge whether it has been a success or not, without having set
right at the beginning, criteria and objectives. Without these there can be no yard stick to measure
performance. Measurement within events is key.
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Researching stakeholders, clients, delegates, customer requirements and how to develop an idea into a
package and ultimately into a well designed event should also develop a clear list of objectives. These are
manageable steps of measurable achievement. They should be set, agreed and understood by everyone
involved – this will lead to a clear focus, co-ordinated effort and unity of purpose.
.................................................................................................
Consider and note down the stages that you went through
right from the start to its final completion.
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Activity - Time 20 Minutes
In an event with which you are / were familiar, set out your
operations checklist. This should indicate every task that
needs action. You should be able to group together all the
main varied activities under generic headings.
A selection of Event Planning Models, are visually represented below. These models are from academic /
practitioners from the United Kingdom, North America and Australia.
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The Event Planning Process
Watt 1998
(Watt 1998, p. 6)
(Bowdin et al. 2001, p. 68, adapted from Robbins & Coulter 1999)
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Project Planning Process
Getz 1997
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Review the 4 named event planning models.
Some of these answers may on the surface seem rather self - evident, but allocating time to research these
issues can benefit your organization in terms of time management, focus and clarity and in the end ensure the
event succeeds and repeat business is more likely.
Organizers need to spend more time on attention to programme / session design. Participants and potential
partners from a variety of differing cultures are complex human beings with all the emotional baggage
attached and so they do require perhaps a new approach to the organizing of their conventions, meetings.
Attention should focus also on the design of lunches, receptions, and other networking sessions in and out of
the main scheduled convention, meeting times. If the event combines a business programme with a social;
programme, the social itinerary will require planning and creativity from the organizer team in order to make
the event memorable. Finding the right mix of convention speakers and participants is not easy and requires
thought. Some further thoughts from industry have included:
The choice of speakers, workshop leaders is crucial and in many cases such a decision may be imposed upon
the organizer by senior management. In such a case, the organizer’s role is to ensure that speakers are well
briefed about the conventions aims and objectives as well as their own presentation.
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• Concise presentations: The selection, briefing and fitting of presentations within the overall programme
to timed deadlines is key.
• Social integration and interaction and sharing knowledge in small groups is important. Promote
opportunities for interactivity, engagement. Maximize networking among participants.
Reading List
Bowdin, G. et al (2007) Events Management, 2nd Ed, Elsevier Butterworth-Heinemann, Oxford.
Getz, D (2007) Event studies; Theory, research and policy for planned events.
Goldblatt, J.J. (2002) Special Events: Twenty-first Century Global Event Management, Wiley, London.
Health & Safety Executive (1999) The Event Safety Guide, HMSO, London.
Health & Safety Executive (1996) Managing Crowds Safely, HMSO, London.
Rogers, T. (2008) Conferences & Conventions: A Global Industry,(2nd ed) Butterworth Heinemann.
Watt, D.C. (1998) Event Management in Leisure & Tourism, Longman, Harlow.
Useful Links
AEO - Association of Exhibition Organisers. http://www.aeo.org.uk.
AFO - Association of Festival Organisers. http://www.afouk.org.
Eventia – http://www.eventia.org.uk
NOEA - National Outdoor Events Association. http://www.noea.org.uk.
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Chapter 2. Successful Strategies
The event strategy in its implementation comprises all factors that determine the success of the event. In
organizing any event five main strategy making steps should be followed:
1. The aim of a MISSION STATEMENT is to specify the purpose of the events, the phylosophy and values
that guide it, and the scope of the business.
A mission statement must be:
short, clear, understandable
goal-oriented, provides direction and focus
defines firm's domains of operation and criteria for success
inspiring and motivational, gives employees a sense of belonging
reflects the company's strategy
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establishing a Strategy-supportive budget
installing internal administrative support systems
devising rewards and incentives that are linked to objectives and strategy
shaping the corporate culture to fit the strategy
exercising strategic leadership
5. Doing the tasks of strategic management is an ongoing responsibility. Managers must constantly
evaluate performance, monitor the situation, and decide how well things are going
Altering the organization's long-term direction
Redefining the business
Raising or lowering performance objectives
Modifying the strategy
Improving strategy execution
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Or it should be better arranged elsewhere where there are more suitable facilities for it?
If the place we shall use will provide everything we need?
What way can we achieve it?
Is it possible to dispose of the event mechanisms so that they assure its successful completion?
How much will organization of the event cost?
Where shall we raise the money?
Who will undertake it?
Who will attend it?
Who will watch it?
Who will take part in it?
Who will pay?
Will the media be interested in it?
Will the sponsors be interested in it?
Will the politicians and authorities enjoy the event?
How many events of the kind are there?
What is our next step?
What shall we start with?
Similar questions are asked by I. Pereverzin, the author of The art of sports management, p. 195.
Why?
This is the most important question when sports and pastime events are concerned. If there is no clear-cut
reason and no complex of parallel aims such event should not be organized. There is no whatsoever point to
do it just because there was one the previous year or it is a part of our calendar undertakings. It wouldn’t be
right for the lost time thus the event would rather be dismissed.
What kind?
Having decided that there is a serious ground for the organization of the event, the next follows as what form
it should take. Should it be devoted to people of certain age and whether it suits the reason overall? Every
detail of the event must be thoroughly elaborated and fulfilled to the end. An incorrect type of an event is as
bad as an event without any reason.
Where?
The issue of availability of appropriate place and facilities for the event is of a great importance. It is also
necessary that the place of the event should have extra rooms, medical services etc. A set of conditions must
be elaborated in advance to assure that all necessary demands are fulfilled.
When?
The event time can be determined by many factors. In order to rouse a greater public interest and to avoid
overlapping one should follow closely the local, national and international event calendars and assure that the
site foreseen for the event is not occupied.
What for?
This is another essential question as if there are no people interested in the event there is no sense to organize
it. The purpose of the event might be raising of funds or to enhance its publicity but generally speaking a
factor of involvement should be present otherwise all attempts will come to nothing and the event will find
no attention. It may happen that the event is held not for these people (in other words more for the organizers
rather than for the participants) or is done to please the politicians even if it is an unsuitable time for the
events of this kind. It is worth organizing an event if there is a group of participating consumers.
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Under whose auspices?
It may raise a number of problems since the event can be organized provided there is a strong group of
organizers. This work is demanding therefore certain skills of the organizers are required no matter whether
they are paid or voluntary. There is always some risk of failure when sport organization has no experience or
right people skilled in the field. One should dismiss the idea that a group of people could organize an
international championship of Europe or British Commonwealth after they had success in holding a local
match.
No doubt there is a possibility to buy such service or advice but it can turn to be very expensive therefore the
issue should be seriously considered at the very beginning of the budget building. Thus if you have no skilled
organizer the event should be put out of your head.
For example it is commonly thought that financing is quite possible though practically it is either very
difficult or hardly feasible. The character of the event itself may be not necessarily attractive to the sponsors
therefore one should not trust to off-hand success. There are people like local authorities, volunteers etc who
willingly support such undertakings nevertheless the most important thing is that all financing sources should
be clearly known in advance.
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With regard to the type and size of the event its separate elements receive a different degree of importance. If
we expect a success it is necessary to evaluate its probable strategic factors: determination of its purpose and
creation of the trademark; establishment of target groups, analysis of market potential; definition of cost,
product and distribution politics; employment of sales, promotion, communications, advertisement potential;
identification of PR instruments; determination of probable sponsors. Control tables that contain a collection
of main ideas and sources that serve as an aid to creatively manage the event.
Consequently one can make conclusion that the event strategy is a component part of the sum of
many strategies that can be represented by the following sketch:
EVENT
STRATEGY
Without perceiving the aim of the event (that is the strategy) there is no way for its achievement (pav. X)
Position/
outcome Strategy Aim(s)
situation
Many events failed because of wrongly set targets i.e., no strict reasoning of the event’s dedication, its type
and content, its target groups and their interests; in what aspect this event is different from others, what
makes it exclusive etc.
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Any event apart from its reason must have its aims. There should be three – five of them. They must be
clear-cut and laid out so that we can plainly see and evaluate the success when the event is over.
The aims must be (Yeoman, Festival and events):
exact
measurable
concerted
comprehendible
clear
attainable
real
simple
unambiguous
timely
When we have gone through this list we shall have targets that will help to estimate our success when the
event is over. It will help us very much to do the job constructively and systematically and in the aftermath
our rate will be higher and our potential for similar future work brighter.
Our targets must be measurable. They should be divided into qualitative and quantitative:
Qualitative targets: satisfaction of participants, setting, atmosphere;
Quantitative targets: number of participants, turnover of goods, profit.
Quantitative targets like number of participants are easily reckoned. Qualitative indices like rate of
enjoyment, satisfaction with the level of catering and services could be estimated by the number of
complaints. Thus it is worthwhile to hold an opinion poll. If it is possible to define that there is demand for
this or that service for the next events, it means that they were worth of investments. The sponsors also are
interested that their endeavour input is evaluated and weighed.
Depending on the type of the event different objectives are raised to be set and achieved. For this purpose the
control table of Holzbauer, Event management psl. 60) is recommended.
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Definition of objectives Start:
State:
Responsible person: Assistant:
Definition of objectives and methods of success estimation:
Topic Result Who When Nr.
Target group, including:
Geography (town/suburbs)
Age
Sex
Income, education, profession
Marital status
Activity field (catering, office, media)
Number of participants, event course,
attendance distribution regarding time
Commodity turnover
Budget
Income/profit /result
Work with media
Contentment of participants
Methods of measuring the objective
success (e.g. defining of participant flow
by counting, commodity turnover,
processing of profit data, marketing
analysis, sampling of press material etc.
Executed: Notes:
Practical work: devoted to a small Lithuanian town (e.g. Kretinga) because there is a great social gap
between the bigger cities of Lithuania and smaller towns and townships. To invigorate the town social
activities and to widen the range of recreational services we offer the following example:
Event Form
EVENT STRATEGY
What is the role of the host/top university official (pres., provost, VP, etc)?
Speaker
Moderator
Greeter
Guest
NOT attending
Other: ____________________
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Basic Agenda:
TIME - University staff to arrive and setup _________
TIME - Guests arrive _________
TIME - Program begins (breakdown from there) _________
TIME - Program ends _________
TIME - University staff leave _________
Branding Properly:
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Chapter 3. Event Marketing
Marketing Environment
Source: http://www.marketingteacher.com/Lessons/lesson_marketing_environment.htm
The marketing environment surrounds and impacts upon the organization. There are three key
perspectives on the marketing environment, namely the 'macro-environment,' the 'micro-
environment' and the 'internal environment'.
The micro-environment.
This environment influences the organization directly. It includes suppliers that deal directly or
indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but
this can be misleading. In this context, micro describes the relationship between firms and the
driving forces that control this relationship. It is a more local relationship, and the firm may exercise
a degree of influence. Micro environmental factors – These are internal factors, which the
organization can control.
The macro-environment.
This includes all factors that can influence and organization, but that are out of their direct control.
A company does not generally influence any laws (although it is accepted that they could lobby or
be part of a trade organization). It is continuously changing, and the company needs to be flexible to
adapt. There may be aggressive competition and rivalry in a market. Globalization means that there
is always the threat of substitute products and new entrants. The wider environment is also ever
changing, and the marketer needs to compensate for changes in culture, politics, economics and
technology.
Pest Factors – These are external forces which the organization does not have direct control over
these factors. PEST is an acronym and each letter represents a type of factor (Political, Economical
Social and Technological).
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The internal environment.
All factors that are internal to the organization are known as the 'internal environment'. They are
generally audited by applying the 'Five Ms' which are Men, Money, Machinery, Materials and
Markets. The internal environment is as important for managing change as the external
So, types of marketing environment could be: micro and macro.
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The service marketing mix comprises off the 7’p’s. These include:
• Product ;
• Price;
•Place;
• Promotion;
•People;
•Process;
•Physical evidence.
Event Product - It must provide value to a customer but does not have to be tangible at the same
time. Basically, it involves introducing new products or improvising the existing products. Product
Elements Managers must select the features of both the core product and the bundle of
supplementary service elements surrounding it, with reference to the benefits desired by customers
and how well competing products perform. product elements: all components of the service
performance that create value for customers. It could be event programme, transport,
accommodation, meetings …
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Price - Pricing must be competitive and must entail profit. The pricing strategy can comprise
discounts, offers and the like. Event service managers recognize and, where practical, seek to
minimize other costs and burdens that customers may bear in purchasing and using a service,
including additional financial expenditures, time, mental and physical effort, and negative sensory
experiences.
Place - It refers to the place where the customers can buy the product and how the product reaches
out to that place. This is done through different channels, like Internet, wholesalers and retailers.
Place: management decisions about when, where, and how to deliver services to customers.
Customer expectations of speed and convenience are becoming important determinants in service
delivery strategy. Places of events could be public non public, mass, individual, in the open air and
in the building.
People - People refer to the customers, employees, management and everybody else involved in it.
It is essential for everyone to realize that the reputation of the brand that you are involved with is in
the people’s hands. Many services depend on direct, personal interaction between customers and a
firm's employees (like getting a haircut or eating at a restaurant). The nature of these interactions
strongly influences the customer's perceptions of service quality. Customers often judge the quality
of the event service they receive largely on their assessment of the people providing the service.
Successful event service firms devote significant effort to recruiting, training, and motivating their
personnel, especially - but not exclusively - those who are in direct contact with customers.
Process - It refers to the methods and process of providing a service and is hence essential to have a
thorough knowledge on whether the services are helpful to the customers, if they are provided in
time, if the customers are informed in hand about the services and many such things. Creating and
delivering product elements to customers requires the design and implementation of effective
processes. A process describes the method and sequence in which service operating systems work.
Badly designed processes are likely to annoy customers because of slow, bureaucratic, and
ineffective service delivery. Similarly, poor processes make it difficult for front-line staff to do their
jobs well, result in low productivity, and increase the likelihood of service failures.
Physical (evidence) - It refers to the experience of using a product or service. When a service goes
out to the customer, it is essential that you help him see what he is buying or not. For example-
brochures, pamphlets etc serve this purpose. The appearance of buildings, landscaping, vehicles,
interior furnishing, equipment, staff members, signs, printed materials, and other visible cues all
provide tangible evidence of a firm's service style and quality. Service firms need to provide
evidence of service manage physical evidence carefully because it can have a profound impact on
quality, customers' impressions. In services with few tangible elements, such as insurance,
advertising is often employed to create meaningful symbols. For instance, an umbrella may
symbolize protection, and a fortress, security. (Lovelock Ch.., Wright L., 1999).
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Activity - Time 10 -60 Minutes
1. Choose event service company you are familiar with and show how each of
the seventh elements (7Ps) of integrated service management applies to the
company.
2. Give examples of how computer and telecommunications technologies have
changed services that you use in your professional or personal life.
3. Why is time so important in event services?
4. Create event service product for sport or cultural festival.
Market research. We learned earlier that a key component of the sevens Ps of marketing is market
research and analysis. Before one can effectively design and market an event, there is the need to
determine the desires, expectations, and anticipations of the audience to whom that marketing will
be directed. The event may be an original production—or a historic, traditional annual meeting—
but research must be ongoing.
By researching markets in depth, the event marketer will be able to spot trends in time to respond to
changing needs as well as to resolve small problems before they become major ones. As
demographics, desires, and issues change, marketing must be on pace with change to address those
market fluctuations in all available promotional media and marketing vehicles.
Quantitative/qualitative research. There are two basic categories of research instruments with
which we should be familiar: quantitative and qualitative surveys. Either can be considered for both
prevent and post event research. And qualitative methodology is extremely effective during the
event itself.
The major difference between the two is this: Quantitative research allows little room for
interpretation; it is a snapshot of attitude or opinion based on numerical or analytical ratings
systems. It is typically faster because it is easy to execute and tabulate, less expensive, and not as
open to conjecture as qualitative research instruments.
On the other hand, qualitative research is more in depth, a study of opinions, objectives, visions,
and experiential and performance observations. It is more time consuming, often more expensive,
and more interpretive than the quantitative approach.
Again, both are often used simultaneously, as well as separately, and can be effective for prevent
marketing and planning strategies as well as postevent evaluations. You will need to determine
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which may be the best method, given your timing, group characteristics, and type of information
needed. (Guy Masterman, 2006 ).
Quantitative research (hard data). In most cases, this research is conducted on paper,
electronically such as Internet applications, or through telemarketing. For example, assume you are
considering two keynote speakers for your Mid-Year Event. In your prevent quantitative research
instrument, you ask your potential audience to rate which speaker they wish to hear, on a scale of 1
to 10 (1 being the lowest desirability; 10, the highest). Speaker A receives an average of 5.6 in your
responses. Speaker B nails a 9.3. This result needs little interpretation. The data are “hard.” Go for
speaker B, or be ready to explain the alternative! This system works well for all aspects of event
marketing and evaluation, including the ratings of multiple educational programs, social events, and
overall experiential responses. Quantitative research instruments are objective.
Questions may be developed in two different styles: In picture 4, you will find a model of a typical
quantitative prevent survey.
Qualitative research (soft data). What’s the hidden meaning? What are the objectives of this
event? What are the ranges of interests in the markets we are trying to attract? These are the kinds
of questions that compel qualitative research, the probing inspection of attitudes, opinions, interests,
and organizational directions. By its nature, this type of research is more time consuming and
expensive, as well as more open to varied and sometimes conflicting interpretation by analysts.
Qualitative research instruments are subjective.
But qualitative research can be much more exciting! It’s the “risk-taker research” if you are not
afraid of what the answers may be. In other words, the results of qualitative techniques can take
you to places you may not have thought of, lead you to fresh new concepts, perhaps all the way to
the “Field of Dreams.” There are several favored ways to conduct qualitative research.
The following survey will enable the organizers of ABC event to determine the feasibility of
producing the following event. Your participation is important in this effort. Answer all questions
by checking the appropriate box. Return this survey by January 1, 2010
1. Gender? ■ Male ■ Female
2. Age? ■ Under 25 ■ 26–34 ■ 35–44 ■ 45–60 ■ 61 and over
3. Income? ■ Under Euro 24,999 ■ Euro 25,000–34,999 ■ Over Euro 35,000
4. If the event held during the summer I would: (Likert scale)
■ Not Attend ■ Maybe Attend ■ No Opinion ■ Probably Attend
■ Positively Attend
5. If the event were held during the fall I would: (semantic differential scale)
Not Attend ■ 1 ■ 2 ■ 3 ■ 4 ■ 5 Positively Attend
6. If you checked number 1 above please describe your reasons for non-attendance in
the space below: (Open-ended question)
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
_______________________________________
Return this survey by January 1, 2010 to:
Mr. Remigijus Kinderis
P.O. Box..........
Anywhere, Lithuania
To receive a free copy of the survey results please include your business card.
37
Source: According Leonard F. Holey, CAE, CMP (2002).
P.S. The survey model in picture 4 is primarily quantitative. However, question 6 adds the
possibility for a qualitativeinterpretation of an expanded response. you to places you may not have
thought of, lead you to fresh new concepts, perhaps all the way to the “Field of Dreams.” There are
several favored ways to conduct qualitative research.
Focus Group. This is a small group of participants who are interested in the subject but who
represent disparate representations of your market or constituency. They should have knowledge of
the subject under guidance of a facilitator.
The facilitator must also have knowledge of the topic in question, but should enter without a
preconceived agenda or objective.
Rather, the facilitator is responsible for keeping the discussions on , topic, maintaining order, and
deriving conclusions, whatever they may be. Recording of the discussions is often done with
videotapes, audiotapes, or, at the very least, written transcriptions and flipchart notes.
The focus group deliberations may take an hour or a day, depending on the extent and complexity
of the issues. The important point here is that plenty of time should be allowed for the objectives to
be accomplished. The pressure of the clock is the greatest threat to generating thoughtful
deliberations and meaningful consensus.
Scrutinize everything. Copious note taking and laser alertness are essential during this process.
While managing and marketing a major national convention, I would take time to visit every
seminar room, a total of 65 seminars during a three-day period. I would count heads and compare
the total to the total room capacity. I would observe the body language of the students and the
teachers. Hands in the air were good. Heads on the table were bad. After a few informal exit
interviews, I took my notes. This was not rocket science, but it was an incredible asset when
selecting topics, teachers, and room sizes the following year, making the adjustments mandated by
my notes and marketing a more memorable event next time. This was the observation/participation
technique at its most basic and most effective level.
38
groups? What are some kinds of question that are appropriate for focus groups
to investigate?
Knowledge sought can include psychographics as well as geographic and demographic information
of customers. The aim of segmentation is to identify customer's needs that can be better met by the
organization than by its competitors. Jobber (1998) maintains that there are three criteria for
achieving this differential.
The basis of segmentation. Behavioral segmentation: What benefits do they seek, how and where
do they buy, are they brand switchers, are they heavy or light users and do they view the product
favorably? Psychographic segmentation: What kind of lifestyle do they lead? For instance, are they
trendsetters, followers, conservative or sophisticated? What kinds of personalities do they have?
Are they extrovert or introvert, aggressive or submissive? Profile segmentation: Age, gender, stage
of life cycle, social class, level of education, income level and residential location.
Whilst segments are a division of the mass, niches are an even smaller part of the whole. Segments
in definition are still quite large and prone to competition whereas niches can offer single corporate
opportunities to provide a small part of a market with a product that will not realize great profits,
but can offer market share domination and be more than sufficient for a smaller organization. The
identification of a niche follows the same segmentation process. Going through a process of
segmentation however, does not guarantee success. There are four key criteria that must be met
according to Boone and Kurtz (2002):
39
1. The market segment needs to offer measurable buying power and size.
2. The market segment needs to be able to offer an appropriate level of profit.
3. The organization needs to be capable of providing the segment with a suitable offering
and distributing it at an appropriate price.
4. The organization's marketing must be capable of effectively promoting and serving that
segment.
The process for segmentation below has been adapted from Boone and Kurtz's (2002) model.
The segmentation process. 1. Identify the basis of segmentation: This consists of the choice of the
basis for segmentation basis and the selection of promising segments. Having predefined a segment,
a selection can then be made based purely on observation or via market-driven research.
Develop a segment profile: Further understanding of the customers in each segment, so that
similarities and differences can be identified between segments. The aim is to arrive at typical
customers for each segment.
Forecast market share: Forecasting a probable market share by considering the competitions'
market positions and by designing marketing strategies to reach each segment. The latter will
identify necessary resources and weigh up the costs versus benefits.
Target market selection. There are several approaches for target market selection. A mass-
market approach entails selecting large numbers where the appeal can still be successful with little
wastage of marketing effort. An event that has appeal to people of all ages, either single or part of
family units might successfully select a mass market.
However, many events will require differentiated target markets that are more finely selected via
the segmentation process. An example here would be an extreme sports event where the appeal is
not so widespread. Further differentiation again can be provided via a niche approach. For example,
an event that runs during off-peak hours will be required to be more focused still, perhaps in the
form of local schools or women's groups.
Following segmentation an organization can make an informed decision about which segments it
wants to target.
40
Marketing planning.
There is no commonly accepted definition or approach to marketing planning. This is because of a
number of problems that pepper the marketing planning literature relating to the size of an
organization, the market or sector in which it exists, its culture, and the human beings that work
within it. There is a huge body of research that has considered marketing planning and its models,
structures and processes, theory and typologies. The only one thing that is certain is that, after
considering the findings of a number of studies and as the output of many informed views, there is
no common agreement on a single definition or approach to marketing planning
A common method used to help plan a marketing plan is an acronym called AOSTC. It simply
stands for :
1. Analysis – Of environment.
2. Objectives – Setting yourself SMART objectives.
3. Strategies – For segmentation and growth, targeting and positioning.
4. Tactics – Used i.e. marketing mix
5. Control. – How you will monitor that you are achieving objectives.
After the internal audit the next stage is for you to conduct an external audit. The external audit
will involve:
- Conducting a PEST analysis, and discussing the impact of this on your strategy.
- Researching the industry you operate in. What are the trends within the industry you
operate in?
- Competitor analysis. What are your competitors up to?
- A SWOT analysis to help establish your current strengths, opportunities, weaknesses and
threats.
41
3. What tactics or methods will you use to get there? How will you get there?
- Define your target market. Select your segment, your targeting strategy and positioning
strategy.
- How will you use the marketing mix to assist you. What will be your product, price, place
or promotion strategy?
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5. Controls
5.1 Implementation
5.2 Marketing Organisation
5.3 Contingency Planning
Without a strategic marketing plan a company could waste resources or miss an opportunity.
What's the cost of missing an opportunity? Of course, it's impossible to know at the time the
opportunity is missed, but years later it will become clear when a competitor opens a new factory or
enters a new market -- and their revenue grows faster than their competitors.
In other words, the annual cost of a strategic marketing plan review is miniscule compared to the
revenue, market share, and profitability it can generate.
After analyzing market segments, customer interests, and the purchase process, it's time to create
the strategic marketing plan. The strategic marketing plan document usually includes:
Situational Analysis - Where is the company now?
a) Market Characteristics
b) Key Success Factors
c) Competition and Product Comparisons
d) Technology Considerations
e) Legal Environment
f) Social Environment
g) Problems and Opportunities
Marketing Objectives - Where does management want the company to go?
a) Product Profile
b) Target Market
c) Target Volume in Dollars and/or Units;
Marketing Strategies - What should the company do to achieve its objectives?
a) Product Strategy
43
b) Pricing Strategy
c) Promotion Strategy
d) Distribution Strategy
e) Marketing Strategy Projection
How to Use a Strategic Marketing Plan. Once a company's executive team has approved the
strategic marketing plan it's time to take the next step - create the tactical marketing programs and
projects needed to implement the plan.
These tactical programs usually include:
Product Development Plan;
Marketing Communications Plan;
Sales Development Plan;
Customer Service Plan;
Benefiting from a Strategic Marketing Plan. The top-down process of developing a strategic
marketing plan helps insure that all tactical marketing programs support the company's goals and
objectives, as well as convey a consistent message to customers. This approach improves company
efficiency in all areas, which helps improve revenue and market share growth, and minimizes
expenses - all of which lead to higher profitability.
Reading list
Boone L. and Kurtz D. (2002 ). Contemporary marketing. London, Thomson Learning.
Jobber D. (1998). Principals and practice of marketing. London. MacGraw-Hill.
Guy Masterman ( 2006 ). Strategic Sports Event Management. Elsevier Butterworth Heimann.
Kotler, Ph., John T. Bowen, Jame C. Makens (2006). Marketing for Hospitality and Tourism.
Person Education International.
Leonard F. Holey, CAE, CMP (2002). Event Marketing. How to successfully Promote Events,
Festivals, Conventions, and Expositions.
Lovelock, Ch., Wright, L. (1999). Principles of Service Marketing and Management. USA, New
Jersey:Prentice-Hall, Inc.
Useful links
http://www.marketingteacher.com/Lessons/lesson_marketing_environment.htm;
www.smartdraw.com;
http://www.jurossvente.lt/;
http://www.upas.lt/;
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Chapter 4. Logistics
These classical definitions of the military logistics do not reflect the modern vision of the logistics
subject. The transition of the logistics approach from the military sphere into the business and civil
sphere is a result of economics vision evolution. The necessity of initial steps in this direction is
сreasoned in 1955 in one of the North American magazines. This is followed by the rapid establishment
of national logistics associations, which cut the path of its civil application, in the USA, Great Britain,
Germany and other countries during the 60s. Definition promulgated by Council of Logistics
Management, a civil professional organization of logistics managers, educators, and practitioners is
“Logistics is the process of planning, implementing, and controlling the efficient, cost-effective flow
and storage of raw materials, in-process inventory, finished goods and related information from point of
origin to point of consumption for the purpose of conforming to customer requirements”.
Thus the relatively narrow postwar understanding of logistics is overcome. Logistics is more often
viewed as a system component of integral, global, national, branch or corporate economy. Magee (in
1968) writes that it is “The art to manage a flow of materials and products from the source to the
consumer”. Soce views logistics as: “… art and science, engineer and technical activity related to
defining the needs, projecting the satisfaction, supply and procurement of resources to maintain goals,
plans and operations”.
Of logistics point of view interesting is every special event (activity planned in advance, and usually
attracting a large number of participants or observers), that is entirely or partially related and
requires logistic coverage and special logistics management. We add to these events also such as
sport, cultural or entertainment events that may not require special logistics management however
they affect or disturb the normal logistics processes in a restricted or larger territorial zone.
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The attention to the logistics management as a whole and to the special events logistics in particular
increases with the development of the business processes and the activities in the local economy.
The global transition from mass towards consumers-centered production is the logical basis for
logistics management development.
The logistics age is the natural third stage of the global economy development, which includes the
phases of:
Large-scale machine production during the 50s. A distinctive emphasis from this period is
the production management theory of Ford focused towards rationalization of the production
processes. The attention is directed towards the operational, technical and technological
aspects of production that can ensure effect due to the production scale.
Market saturation with goods after the 50s that neutralizes the effects of the production
scale. The market turns into focus of the production management. The marketing practice
and theory is developed as a new managerial concept consistent not with the production
possibilities but oriented towards the market needs, meeting them and if possible modifying
them.
Consumer-dominated market – after the 70s that mark the end of the producer-dominated
market and its transformation into a consumer-dominated market. The consumer’s impact on
the price of goods and services increases. The producers have to take into consideration the
individual peculiarities of demand. The era of “demand individualization” comes. The
clients demand that the goods and services should be delivered to a certain place, should be
of high quality, acceptable prices, and at right time. Therefore the attention is directed
towards organizing and managing of flows of goods and services towards the client. This
precisely is the essence of the logistics concept of the business.
This concept integrates the previous two concepts. However it does not only unite production and
marketing, but opens the field for the following concept that led to dramatic development of quality
management of the offered goods and services.
The spread out of the logistics concept is characterized by the transition from the traditionally well used
centralized activity of “material and technical coverage” or “supply” towards “logistics coverage” or
“logistics management”. This is not just a terminological transition that can be executed by the mere
change of the activity name. There are contextual differences that need to be taken into account during
the management of the above-mentioned transition. In fact we talk about a significant transformation of
the existing practice and adapting it to the global models of this activity. Briefly we can list the
following aspects of modern business logistics that serves the special events management:
This is a new managerial concept or a new way of thinking to provide for goods and services
for the events held.
This is a new vision of the function of the economy and the objects and events within it.
The logistics stress not on the process but on the relations and subordinations among them,
i.e. directing flows of goods and services towards the special events participants and
consumers.
The logistics presupposes network integration and balance of activities that are physically or
informatively related to the provision of necessary goods and services for the clients.
You could summarize all these aspects accepting that the mission of logistics is to get the right goods or
services to the right place, at the right time, and in the desired condition.
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Relatively to events logistic management aims to develop and maintain the abilities to provide all
needed support of special events. The key objective is managing the flow and network aspects during
the provision of the necessary materials, facilities and services. A special focus is also the movement of
participants (consumers) or suppliers to the event venue.
The specific concept and approach related to the provision of logistic services is actually an application
of the modern methods for market management of the available resources. Its application is a tool for
better balancing of special events demand and offer through the usage of the modern market tools for
regulation of clients-entrepreneurs relationships in the business. Good logistics management is an
expression of economic market relationship maturity and democratic economic management. Adopting
the logistics ideas and undertaking specific actions for their application in special events management
will be an expression of real resource management revolution in the tourist sector sphere as part of the
overall economy.
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Connection: “decision environment – strategy – tactics – operation” and main logistic systems
For solving the risk and uncertainty problem logistics develops four main systems: for defining the
operational requirements, for strategic guidance of demands saturation, for tactics of the logistics
management, answering how a specific event logistic is to be managed, and finally for its operational
management.
The requirements system tackles the issues of defining the needed operational requirements and
projecting ways for their execution. In tourist entrepreneurs and suppliers point of view this is the
generation of operational demands (orders) of clients (for organizing events) including the necessary
transport and assortment of equipment and facilities. It answers the question – what is necessary to
achieve the needed ability to organize and conduct planned events. It includes the events organizers and
the clients’ representatives that give their orders, and the potential to project and plan the event that is
necessary to view the best ways of demands saturation. The output of requirement system (logistic
operational requirements) is a part of research phase of the event management.
The strategic logistic system and it product – logistic strategy are the parts of the good corporate
system and strategy. They have to answer the question – how to meet the needs and requirements? The
strategy details the requirements, approaches, policies, objectives, and available resources for their
achieving. It engages the high management of the organization, including the resource manager, who is
responsible for the logistic management of the events and for the purchase system. In special cases this
system need to be supported by external or internal consulting or R&D units that can be engaged to
clarify the strategic aspects of logistic management. Logistic strategy is a part of the strategic event
plan.
The tactical or organizational logistic system covers related to the event planning and execution
issues. It arranges who shall perform the necessary logistic operations. It includes the allocation of
logistic tasks among organizational bodies, purchase, preservation, division, transport, etc. The main
executor is the team of the organization resource manager.
The operational or control logistic system includes management, implementation, coordination and
control of the logistics process. It answers the question – how to carry out the logistics operations? How
to organize the transportation of the participants, the provision of the necessary facilities and
equipment, including purchasing, maintenance, servicing, storage, transport, etc? This activity is
usually carried out jointly by the organization and the participating subcontractors – specialized
logistics organizations units that are engaged for the event organization. This system concerns the
logistics outsourcing and the contracting of external for the leading organization companies for
executing logistic services.
All these subsystems are bound by time and have to consider the time limits during the integration of
the chain “decision environment (treats, risk, uncertainty) – strategy – tactics – operation”. They all
abide the question – when and where shall the interrelated activities be performed? Good time and
place harmonization of the activities of multiple organizational units is a key criterion for the successful
implementation of a special event.
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Combining requirements, strategy, organization and control of the material, facilities, services with
time and place allows defining the flow character of logistics activity. The logistic emphasis is on the
resources flows that run in time and on the networks through which the flows run.
Logistics covers three out of totally six types of economy flows. Its subject is the so called classical
logistics flows:
Material flows or flows of necessary material, facilities and services.
Demand flows for event material, facilities and services.
Information flows of data for the material and demand flows.
The remaining flows are: money flow, labor force flow and investment flows and they are not logistics
subject. They are subject of other branches of economy, however often elements of these flows are
subject of logistics activity.
These logistics flows are variously related to the diverse in type and essence special events. However it
is possible to show the connection of the logistics flows to some summarized aspects of the events.
The material flows are mainly connected to organization, received guests, technology and suppliers for
the special events conduct. The demand and information flows affect all of the listed aspects of the
special events held. A detailed clarification of this relation allows for a certain systematization, partial
unification and even standardization of material, demand and information flows. It is feasible to achieve
a standardized demand framework, as well as specific requirements for organizing the information and
material flows for special events.
The flows listed are complexly related to an extraordinary huge list of specific logistics services.
The logistics service flows run in the logistics networks (or chains). Practically we can easily
differentiate between the production networks and flows and the consumers or servicing networks and
flows due to the elements they consist of. For example the production material network includes:
receiving raw materials and materials, storages for raw materials and materials, workshops for
preparing semi-finished goods, storages for semi-finished goods, workshops for assemblage, storages
for the ready production and expedition. Such networks are typical for the production logistics.
The servicing network should naturally consist of: receiving the necessary products, central storages,
allocation of the products, intermediary (territorial) storages, receiving, end storages, usage. This
network is typical for the consumers’ logistics. This division is quite provisional since each logistics
service integrates elements of both production and consumers’ logistics network at the same time.
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The logistics networks are specifically related to the logistics services providers and to the assortment
of facilities and equipment for providing the services they use.
The logistic services providers are part of the logistics sector of the business. These are organizations
offering one or series of logistics services. They have various characteristics that mainly affect the area
of services offered, availability of the necessary facilities and equipment for the services, service
quality and quantity, as well as the costs and price of the services provided. Depending on the type of
the services offered they are divided into:
Providers of separate independent services (for example air transport).
Providers of combination of services offering various service packages, for example transport
and hotel accommodation offered by one managing center.
Leading logistics services providers who offer integrated services to several combined
services providers.
Providers-integrators of chains of services for which is typical to unite the abilities,
technologies and resources of leading providers and their own organization.
The types of providers listed are equipped with different supporting facilities and equipment necessary
for the services provided. Entering a specific special events market each provider has to consider
carefully what type of service or service package to offer and what facilities and equipment are required
for supporting the services offered. This means to carefully consider the compliance of the service
offered with the infrastructure needed (for example water, technical systems, security, health insurance,
transport and parking, storage, maintenance, cleaning, etc.).
It is necessary that the provider has an organizational unit that can carry out the task. It has to connect
and balance the attractions and the facilities for the services provided. According to the Center for
Development at the State University of Oregon the attraction includes natural and human-made
characteristics that can attract the people to visit the special events. They can be of natural, recreational,
cultural, political, socially valuable or other character that is sufficient for attracting attention to the
services offered.
The facilities include roads, airports, railways, parking zones, water supply, sewage, electricity, gas
supply, traffic control and order and security control, medicine zones, hospitals and emergency medical
help, etc. All these facilities and the services related are necessary in order to make the special events
participation easy and secure. We have to add to them also hotels, restaurants, retailers and service
providers who contribute a lot for the good effect of the events as well as all the necessary equipment
that make the facilities efficient.
Balancing demand and attractions with the necessary facilities and equipment is a task that depends on
the specific characteristics of the special event. Yet it is possible to offer a summarized guiding
framework for its solution that includes the following phases:
Uniting the attractions with the accessibility and with the facilities and equipment of the special
event services. In this phase an expertise shall be made mainly through brainstorming in order to
define the list of attractions, services, facilities and equipment necessary for the planned events.
Defining the facilities accessibility for the specific events and services.
Assessing the compliance of the accommodation (hotels, motels, etc.) and food (restaurants,
etc.) facilities with the participants.
Defining the periods of work load and engagement of the facilities.
Booking the facilities through direct contact with their owners.
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Correcting the reservations depending on the concrete confirmation of the participants and their
groups.
Ongoing overview and correction of the event action plan by the leading body and its
management.
The more logistics services providers in the event, the more complicated is the work on matching
attractions and facilities and establishing logistics networks and flows that have the necessary potential
for its good management.
Logistics is a collection many functional activities that are repeated many times throughout the channel
through which the different factors and conditions (inputs) are converted into successful event output
and outcome. These activities could be:
Transportation.
Inventory maintenance.
Order processing.
Supply, Procurement, Acquisition.
Purchasing.
Protective packing.
Warehousing.
Storage and handling.
Information, maintenance, and other support activities.
In practice the scope and the structure of applied logistics varies in accordance with the type of
organization being considered. But it always concerned with “furnishing the means of events
operations”, which are: clients (participants), material, facilities, and services.
A number of different kinds of models are built to help the managers to perform their obligations:
Transport and distribution model, and assignment technique.
Inventory models.
Reliability and maintainability models.
Management control models.
Network models and analysis.
Queuenning and others.
This and other models help to managers to understand, to simplify and optimize the logistic
processes. For to use them they have to dispose with relevant detailed and accurate information. In
more simple cases the managers could relay on their intuition.
Material:
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Facilities:
Services:
As every management process the logistics management has a cycle with the following main phases:
Logistics networks designing and building. This phase includes identification of event need,
requirements for acquisition, and defining the suppliers, consumers, distributors, storages. At
the end of this phase unifying network has to be chosen. The costs and the time of delivery have
to be defined, and contacts to be closed.
Networks improvements and optimization. The second phase includes the drafting a plans for
the best possible usage of the existing networks. Attachment of consumers to suppliers is
assessed. There is a combined planning that connects all participants into logistic network.
Exchange analyses. This phase assesses the end products stocks. The transport options are
calculated. It evaluates the operational possibilities for offers execution and the exchange
possibilities. The narrow places of the system are removed.
Operational planning and implementation. This is executed through material, facilities and
services flows planning. The main tasks of this process are:
Requirement acceptance.
Distribution and transportation.
Main production acquisition and supply time-table.
Deployment planning and storage.
Logistics transactions are implemented within the process. The execution of time table and the
deviations have to be controlled. The operational status of the system has to be evaluated and improved.
This standard cycle acquires a specific form in every different type of event. The consecutive phases of
this cycle include:
Special events classification. Classification is a necessary prerequisite for good management.
It has to identify the event by outlining its elements, features and various forms. It has to
distinguish possible types and factors that influence them. It has to connect the events with the
specific requirements for their logistics procurement.
Defining the target groups that are subject of the event and their logistics needs and
evaluation of the event attractiveness. As a result we have to predict the number of the
52
attracted visitors as well as the general requirements for holding the event. These requirements
are necessary for determining the ways of movement and transportation of the participants.
Designing transport channels including the ways of transportation of the participants,
material, facilities, and services. Specifying routs and affected zones. Also we need
information about the event structure and content including all elements of the integral
concept for its execution.
Profiling the participants in the logistics procurement and their interests. The analysis of the
participants and their interests allows predicting potential conflicts and sources for threat and
risks for the successful execution. The bigger the organized event is the more unified efforts
are a success factor.
Event logistic planning includes responsibilities distribution, structure of the venue and
neighboring zones, traffic and accommodation management (Traffic and accommodation
plan) as well as the security measures for the participants and environment protection. Typical
elements of security planning are the Risk management plan, and the Emergency plan. The
Risk management plan aims the managing all possible risks accompanying a special event.
The Emergency plan is similar to the Risk management plan but it is focused on unexpected
emergency situations for which is hard to define the level of risk. It views the situations for
actions and management of unexpected accidents that can interrupt or threaten the special
events. Part of the planning is also the event insurance.
Operational management and control of the events includes comparing the implementation
with the action plan and correction of the deviations including the stability and security of the
comprising processes.
Analysis and evaluation of the events quality and success on the basis of the experience
accumulated through their execution. It could facilitate the future work on events logistics
management.
The above-given content events management logistics character and cycle underlines the network and
flow character of the procurement. Replacing the listed phases of the management process with other
management principles and approaches transforms the logistics system into an acquisition (design,
develop, test, produce and deploy, modification, operations and support), procurement (regulations,
policy, purchasing, reliability and maintainability, in-service support, budgeting) supply (requirements,
inventory control, procurement, transportation, distribution, cataloging, standardization, financing and
disposal), purchasing (requirements, tendering and contracting, financing) or other type of servicing
system.
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4.4. Logistic Organization
Logistic organization is the structure that facilitates the logistic activities management. It is a formal or
informal instrument for allocating the personnel to achieve the company’s goal. There are no written
rules for optimal allocation. They company may fallow only common guidelines and his and other
experience.
The organizational structure defines the necessary lines of authority and responsibility to insure that the
logistic inputs are moved according the event plan.
The focus is specifically on the organization of the logistic efforts through positioning those persons in
the company, responsible for events logistic. The positioning has to guarantee the good internal
coordination, and external to the other business functions (marketing, finance, operations), and to avoid
potential conflicts between them. Some organizational structure for the coordinated logistic decision
making is needed. The level of structural integration of different logistic activities into company will
depend on the accepted philosophy for time and cost reduction, and required coordination among the
activities throughout entire company.
The managers have three basic choices from which they may select: informal, semiformal, and formal.
The logistic structure could be also: centralized versus decentralized, large versus small, staff
supporting versus line responsible or others. None of them is better than the others. The right choice
depends on personalities, the tradition and organizational culture, and to the importance of logistic
activities.
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The basic issue for organization as a basic managerial function is how to achieve a good
coordination and cooperation among activities, functions, personnel so that the logistic objectives
can be implemented effectively. But the coordination and cooperation could not be achieved only
by good organization and the other basic managerial functions: decision making, staffing, planning,
controlling, communicating and directing (leadership). Coordination by itself is also an objective of
the operational management of the company, which concentrates on the technical aspects of the
company.
Logistic management is responsibility of the company managers. They have to combine al specific
logistic operations and functions for to cover the regulation or combination the logistic activities in
harmonious action. Next problems have to be solved as a base for good integral managerial
coordination:
To appoint a logistic manager, responsible for the operative coordination.
To prepare logistic plan, as a part of the events plan.
To establish a policy and procedure for cross-servicing and cross-supply.
To review requirements for events critical materials, facilities, and services.
To make recommendations as to priorities and allocation of these elements.
To form teams to which the logistic activities may be delegated.
To provide logistic information to involved participant.
To provide operational information about execution of the plan to the events manager
Purchasing and Supply management is a part of a broader Logistic management. It is an activity, the
purpose of which is to facilitate the accomplishment of the objective of the events. It includes:
Requirements.
Inventory control.
procurement;
transportation;
distribution;
disposal
Organizational responsibilities in supply management depends on the nature of events and own
capacity for services.
Procurement is also one of several functions involved in complex logistic process. It is a servicing
which is directed to obtain equipment or supplies or services (with proper quality, sufficient
quantity at a fare and reasonable price), and to have them available at the right time. The scope of
procurements covers:
Research and development (R&D).
Purchase, hire or leasing.
Production, modification, assembly.
Maintain and support.
From all these operations and functions we will stress our attention to some specifically logistic
ones.
55
Requirements are the statements for maximum overall estimated need of goods or services over a
specific period of time for purposes of supply, procurement or acquisition. Technical specifications
are the parts of purchase specification on design, quality and/or performance.
The key point of this process is that the formulated requirements must meet the event need. On this
phase you will have next issues: lack of specialists, deficit of information, and bad coordination
between the parts of organization
Logistic planning
Planning is a base for coordination the common efforts in event logistic management. To prepare
plan or program of purchases is not easy tasks. It includes:
Gathering information for the acquisition.
Demand and supply analysis.
Selection of strategy.
Selection of method of supply.
Time-table for operative decisions.
Control and correction.
The plan or program (as a part of event plan or program) attempts to answer the questions of what,
when, and how to satisfy the event requirements. The plan could be on the strategic, organizational
(tactical) or operational level. Each planning level will requires a different perspective. Operational
plan must be customized to particular case and problem.
The selection of the wrong supplier can caused the big expenditures. He could be well known old or
new one. If the supplier is old one you could answer the next questions;
Why he will provide us the product or services with best quality?
56
Is it the product or services really cost their price?
Are we satisfied from the previous provisions?
What are the current capabilities of supplier (technical, logistical, physical, financial, and
managerial)?
Price.
Time of supply.
Method of payment.
Add some other criteria, and make integral evaluation for all
parameters. Select the most appropriate supplier.
Tendering
Tendering is a method for selection a supplier. It is used mostly for the big supply, and when the
long lasting relationship is appropriate. Tendering includes two phases: invitation for tenders, and
study, and evaluation of the offers. The tenders could be: open procedure (opened tendering,
including invitation for cooperation to not limited number of suppliers), restricted procedure
(selective tendering), and negotiated procedure (limited or coordinated tendering). Selective
tendering is supposed to be addressed to limited number of suppliers (optimal number is six).
Limited or coordinated tender includes negotiations with exact conditions (quality, quantity and
price).
57
Activity - Time 10 Minutes
Contracting
Contracting is a professional activity with a strong legal aspect, which needed a juridical
consultation. The contract is an act whereby two or more persons declare their consent as to any act
of things to be done or forborne by some of one of those persons for the benefit of the others or
other of them. The contract could be written or in some cases oral, which is obstacle for court
evidence. As the contact is fallowed by the legal consequences the contractors have to be authorized
for contacting, and signing. The contract has to have a price, and to answers to applicable juridical
norms of it.
Contracting is including:
Questioning for purchase.
Offer with acceptable price.
Selecting the supplier.
Order for supply.
Letter for confirmation.
Negotiations and contract award.
Contract close-out.
Before to sign a contract is needed to agree all the conditions with the contractor including standard
for quality assurance, guarantees, liquidated damages, etc.
Logistic control
The objective of control is to ensure that the required material, facilities and services are procured
on time and within the budget. It also has to provide early warning of significant deviations from
the approved plan or program schedule, cost or quality. The control covers:
Comparison of actual logistic performance, schedule, and cost to goals, plan or program,
and cost estimates.
Determination reasons for deviations.
58
Direction of corrective actions, if necessary.
The control could be organized on a periodical, event-driven base (when a preliminary defined
decision points are reached) or driven by the resource allocation process. In any case it is needed to
balance management’s responsibility for oversight against the costs of the control mechanisms
used.
Evaluation
Evaluation is an important activity that takes place at a several points in the logistic process
(selection of the alternatives for requirements, suppliers, and contracts).
The scope, criteria and method will vary according the issues to be addressed.
Finally the overall evaluation of the logistic support of the event will help to see the real impact of
the event effectiveness.
The networks are an integral component of logistics management but they also reflect the internal
controversy of this management. On one hand the presence of numerous elements, storages and
transport operations considerably slows down the flows run. This disables the resources and causes
considerable lost of money. For example we can suppose that the annual lost of disabled resources are
one tenth of the average quantity of the resources kept. On the other hand reducing the stock may lead
to situations where the logistics system doesn’t posses the resources required. In this case there will be
losses again but this time due to the activity break. Thus the stocks in the network have a contradictory
nature and incur damages both when in huge or small quantity. Good is this logistic system or network
that allows maintaining the lowest costs for providing the material products. This logic leads to the
modern tendency of developing the “just in time” logistics systems where the lack of storages is
compensated by absolutely punctual delivery of material, facilities and services.
This example reveals the internal controversy of servicing quality and the costs for events logistics
coverage. The choice and the application of a rational criterion for assessing the logistics management
effects are of a key importance for achieving the goals of special events management.
59
The functional purpose or goal of the criterion is to provide secure measuring, comparisons and
evaluation of the goal achievement ratio and thus to lead to the right choice of alternative decisions
in achieving them. Broadly the criterion is a means for measurement and assessment of bringing
near current and desired condition. Without such assessment criteria the decisions and actions are
disorientated and can lead to the desired result only by chance.
The criterion essence is to measure and assess the ratio of achieving the target servicing work by
comparing it to the allocated and available resources.
The event servicing work is a summarized measure for the business product created. It is a private
welfare that satisfies the needs of the desired product and is created through attracting (by logistics
means) of a various combination of production factors.
Depending on the number of variables used for the analysis and evaluation it is possible to build
various criteria relations for logistics management analysis and assessment. Two cases will be
discussed here – a simplified one with two and a detailed one with four variables.
А) Two variables
In this case there are two variables – input and output. Inputs usually are the supplied
materials, facilities and services, and output – the work done. When the target work is set and the
compared alternatives influence the costs for its achievement and aim at their reduction then the
criterion applicable for its assessment is the economy of the alternative chosen for the logistics
procurement. On the contrary if with the resources set we strive for the maximum possible work,
then the criterion for choosing an alternative is its efficiency.
Economy –assessment criterion where a preliminary set amount of work has to be execute with
minimum costs.
In the case when there is a set of target level (output) of the servicing work and we are looking for
the minimum possible costs for achieving this work then we talk about looking for the “economy”
alternative for logistics procurement. The criterion applied in this case is economy.
Efficiency – assessment criterion where with defined costs we need to execute a maximum amount
of work.
In this case we have fixed resources (costs, input) of the servicing production and we look for
achieving the maximum possible work that can be produced with these resources. This research and
assessment criterion is efficiency.
Analysis of economy and efficiency leads to identifying the cost-effective balance between the
resources and the work executed that exists for every specific logistic process.
Often public work is created by different in their nature products (goods or services). In these
specific cases practically we use some particular and peculiar criteria forms. Such an example are
the criteria for assessing alternatives for the servicing infrastructure, acquired assets (means and
servicing facilities), undertaken partnerships, etc.
B) Four variables.
This case includes four variables that trace the process of including input resources for service
60
production. The process starts with certain money input. This money is used for buying input
resources. The output is a summarized result of the servicing. The production output in contact with
the market environment creates a certain value for the money involved.
This criterion means that the best alternative is the one that allows acquiring the inputs necessary
for organizing special events with least possible money. This criterion for logistics procurement
assessment is logically used in the cases of limited money sources for servicing product production.
It guarantees taking an acceptable but not the best decision as it is possible a certain increase of the
money to lead to significant growth of input servicing factors and respectively of the product
created.
The efficiency criterion is for an alternative of logistics servicing that leads to the biggest output
compared to the other alternatives at equal value of used inputs. Obviously this is a strong decision
taking criterion that is difficult to be replaced with other measures. Practically this criterion gives an
optimal solution in choosing logistics management alternatives.
Effectiveness is the weakest rational criterion for alternatives assessment. It assesses whether the
production output regardless of the means and costs creates the necessary value, benefit for the
customer. Effective is everything that works regardless of the price paid for it. The effective
decision is not the best decision however without it the solution offered is not rational. It can be
viewed as the minimum satisfactory decision.
The Best Value for Money (TBVM) = Economy. Efficiency. Effectiveness = (I)/(M).
(O)/(I). (V)/(O) = V/M
This criterion integrates the power of the previous three more particular criteria and assesses the
best value for money achieved for the desired product. This is an extremely important criterion for
economic assessment in the logistics business sector due to the fact that it operates with and
assesses the achieved effects with customers’ money. For the customers it is highly important how
the money paid for the ordered services will be used.
In addition to the logic of the above-mentioned two criteria networks it is possible and in practice
are used other particular criteria for analytical assessment of logistics procurement and
61
management. For example such are the criteria for investment profit, money flows turnover,
liquidity, financial power, potential growth, etc. Due to their specific character these criteria will not
be viewed in the present manual.
Reading list
Димитров, П., Ек. Величкова, М. Раковска, Развитие на логистичния сектор в
България, УИ „Стопанство”, С., 2008.
Asset management Handbook, Center for Transport Research and Education, Iowa State
University Research Park, October 2000, Community Tourism assessment Handbook,
Western Rural Development Center, Oregon State University, 1996.
Ballou, R. H., Businss Logistics Management, Prentice-Hall, Inc. Englewood Cliffs, New
Jersey, 1992.
Goldblatt, J., Special Events: Twenty-first Century Global Event Management, CSEP, 3rd
edition, Wiley Event Management Series, John Wiley & Sons, Inc., New York, 2002.
(Голдблат, Д., Специални събития, Рой Комюникейшънс, С., 2006).
Kortschak, B. N., Was ist logistic, Wirtschaftsuniversitat Wien, 1993.
Kelly, J., Purchasing for Profit, NatWest Business Handbooks, Pitman, 1990.
Massie, L.L., Essentials of management, Prentice-Hall, Inc. Englewood Cliffs, New Jersey,
1987.
Special Events Handbook, Asset Use Section, Roads ACT, City Management, 04/200.
Westring G., G. Jadoun, Public Procurement Manual for Central and Eastern Europe,
SIGMA, Turin, 1996.
62
Chapter 5. Financing
5.1 Introduction
One of the most important tasks, and difficult, is to manage the financing side of the organization of
an event. It is not possible to hold an event without financing.
Once we have the answers, we will have the guidelines for the development of the project and will
be able to proceed to the financing stage of the process.
TYPES OF EVENT
In order to achieve the purposes of the event we are to organize, it is a priority to define the type of
event.
Scientific:
o Congresses, conferences, seminars, etc.
Cultural:
o Exhibitions, guided tours, concerts, etc.
Corporate:
o Conventions, Incentive travel, FAM trips, Trade Fairs, etc.
Institutional:
o Flag Day, Historic Commemorations, etc.
Sport:
o Competitions, Charity matches, sporting activities, etc…
Ceremonies:
o Weddings, banquets, etc.
Every event is different and it requires a different structure with different sources of financing.
Their goals are different and while some events produce considerable benefits, others will barely
cover costs.
For example, a sport event is likely to be financed mainly through sponsorship from the sport
labels, broadcasting rights, etc. On the other hand, a scientific event will most probably be only
financed by the participants’ fees and the Association or University behind the organization.
63
What will the event be like?
Another basic question is the size of the event, i.e., the number of participants. It is important to
decide whether it is going to welcome a vast audience or just a selected group and, for example,
domestic or foreign participants as the final programme, administrative procedures and social
activities will depend on the size and characteristics of the event.
Moreover, both income and expenses will vary according to the dimension, -local, national or
international- of the event; and so will the different sources of financing.
Finally, the character of the event will also influence the possible economic support given by public
or private institutions.
A short, descriptive report should be made including the purpose, needs and characteristics of the
event to be held.
Timing is crucial as it implies not only the event and its organization, but also the time required to
obtain funding.
To be borne in mind:
This information is necessary to define the exact profile of the event and to know whether the
resources are enough to carry out the project.
The purpose. This is what it is to be achieved with the celebration of the event. The benefits are,
according to the nature of the event, diverse:
Economic
Participation
Social
Political
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Qualification
Public Image
Tourist
Scientific
Media Coverage
Regarding funding, the major goal of every event, apart from those described above, is to
accomplish the initial estimate of income and expenditure so that the final result achieves the most
of the original plan.
POTENTIAL PARTICIPANTS
It is fundamental to know the type of participants attending the event so as to tailor it as much as
possible to satisfy their expectations and make as dynamic as possible in order to catch the
necessary attention.
Participant profile:
Experts
Professionals
Students
Children
Youngsters
Adults
Seniors
Technicians
Public in general
65
5.2 The Budget
Once the type of event has been established, we need to know if it is possible to carry it out and to
do that we need to make a budget with the income and the expenses.
A draft budget will be drawn and modifications will be made along the organization of the event.
This takes a long time beforehand and is basically theoretical.
Halfway though the organization, a second budget will be made. It will be closer to reality, with
updated rates, although the number of participants will be still unknown, as well as the final sources
of financing.
Eventually a final budget will be made. It will be real and operational and a logical consequence of
the second.
We should highlight here the importance of the fact that unexpected costs will be appearing along
the organization of the event. These are extraordinary expenses that arise throughout the
development of the event and that may take up to 20% of the total costs.
FEASIBILITY STUDY
An itemized budget should include the technical requirements, suppliers and necessary services for
the development of the event.
According to the funds expected for the event decisions should be made about the logistical,
organizational, staff and formal requirements, as well as the size of the venue to be held, time of the
year and length of the event.
Every aspect of the event should be included in this study. It is necessary to know whether it is
possible to organize and hold it, bearing in mind the minimum goals and the percentage of these
goals over the total costs, so as to know whether the final benefits would be obtained.
A strategy to obtain funds will be designed so that the event can be successful. This strategy should
attract private or public sponsors, as well as participants
We need to check that there is a demand that will accept our project. We also need to know how to
achieve the necessary funds and whether the event will have any sort of profit margin.
In order to make the budget we need to ask, and answer, a few basic questions. What is the size of
the event? To whom is it addressed? What participation expectations do we have? Where is the
venue? All these questions were answered above.
In every budget, there must be a total balance between income and expenditure.
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Two example budgets are shown below. These are likely to be the most representative: a sport event
and a scientific event.
The sport event is a social gathering with a large number of participants as this is a very dynamic
sector that attracts widespread interest from both the audience and the sponsors if the right
sportsman is chosen. As stated above, one of the main goals of a sport event is to have economic
benefits.
In the present example it is easy to see in the final balance the benefit obtained, as the income was
higher than the expenses, and therefore the organizers will have a surplus either for the organization
of the next event or for their own benefit.
SPORT EVENT
Transport, accommodation and competitors’ and judges’ allowances and salaries, which are
the logistics expenses.
Expenses of the corporate image: event programme, tickets, posters, journals, websites
(from which to sell online tickets), mailings (to the prospective participants and sponsors).
Technical and audiovisual equipment: screens for the results, cabins for the translators,
public address system, etc.
Coordination expenses. The technical secretariat means a very important cost but at the
same time it is their responsibility to ensure the success of the event, to plan, develop and
hold the event from the beginning to the settling of the accounts.
o The press office will be in charge of the media coverage of the event. Further costs
are press insertions with the participants and dates.
Unexpected costs are included here as they are likely to appear through the event.
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SPORT EVENT
EXPENSES
Item Cost
€
TRANSPORT AND ACCOMODATION 10.000,00
Transfer Airport - Hotel - Airport € 2.100,00
Allowances € 3.000,00
Medical expenses €1.500,00
Judges and referees €2.000,00
MARKETING
Posters €500,00
Certificates €600,00
Journal €1.500,00
Communication and media €800,00
Mailing €3.000,00
Event Promotional Gifts (Caps, T-shirts,
flags, etc.) €6.000,00
Press Coordination €300,00
LOGISTICS
Technical Equipment
PC projector and laptops €600,00
Screens €300,00
Public Address system €600,00
Loudspeakers €500,00
Technical Aid €600,00
Translating €2.150,00
Video €3.000,00
Technical Secretariat €6.000,00
Sport material €1.500,00
Stationery €700,00
Interpreters €3.000,00
Venue
Sport Facilities hire €15.000,00
Catering
Opening ceremony €20.000
INSURANCES €1.200,00
Other expenses €3.000,00
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INCOME
Item Total
Participants €25.000,00
Sport Labels €30.000,00
Public Institutions €30.000,00
Local Council (venue) €20.000,00
For a scientific event the budget will include just the necessary expenses to hold it. It is not
necessary to include large sums for design, venue, etc and it will be more economical as the goal is
in the latest scientific developments rather than the economic profit.
The difficulty lies here in the sponsorship of the event as it receives neither much media coverage
nor immediate benefit for the private companies. Most financing comes from research grants or the
support of universities or research institutions. It is usually not more than what is needed to cover
costs. Fees from the participants will help cover all expenses.
A special type of scientific event is the medical one because it attracts sponsorship from the
pharmaceutical industry, interested in presenting their new products, to cover expenses such as
catering (lunches and dinners), travelling expenses for the speakers, the proceedings, etc.
Costs from the scientific programme and corporate image of the event. There will be at least
three programmes, two tentative and a final one, depending to the dates provided by the
organizing committee, with updated information to be sent to participants, speakers and
public in general.
Organizational expenses: the technical and the scientific secretariat will be in charge of the
development of the programme.
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Venue. The venue will be a large Auditorium and Congress Centre
Unexpected costs are included here as they are likely to appear through the event. Anyway,
in this case these costs will be less likely to appear as all costs are usually accounted for.
Participants Fees: The main source of income for this type of event.
Sponsors, Public Institutions and Universities: will cover part of the expenses, usually for
the plenary speakers and printing. These funds are easy to justify.
SCIENTIFIC EVENT: A CONGRESS
EXPENSES
Item Total
TRANSPORT AND
ACCOMODATION €3.150,00
Travel €9.000,00
Transfer Airport - Hotel - Airport €2.100,00
Speaker allowance €3.000,00
MARKETING
Logo design and mark-up €300,00
1st Draft Programme €900,00
2nd Draft Programme €900,00
Final Programme €1.500,00
Participation newsletter €300,00
Accommodation newsletter €300,00
Proceedings €3.000,00
Participant badges €100,00
Speaker badges €100,00
Speaker identification labels €100,00
Mailing €3.000,00
LOGISTICS
Technical and Scientific
Secretariat €15.000,00
Foreign language speaking hosts €1.500,00
Interpreters €3.000,00
Catering
Coffee breaks and lunches €18.000,00
Technical equipment
PC projector and laptops €600,00
Screen €300,00
Public Address system €700,00
Technical Aid €600,00
Translating €2.150,00
70
Stationery €6.000,00
Venue
Congress Centre hire €13.000,00
INSURANCES €1.500,00
INCOME
Total
300
participants
Fees X € 250,00 €75.000,00
Sponsors, Public Institutions,
Universities €15.100,00 €15.100,00
Marketing venue
Stands € 3.000,00
Programme website
Printed programme
Speakers
Speakers Hotel
Speakers Travel
Speakers lunches and dinners
Programmes
There are times when the differences between the initial two budgets and the final one, where
unexpected expenses are included, are so wide that the whole event is at stake.
Lack of experience in the event organization. This will result in some costs not being included in
the draft budget.
Lack of foresight. Events should be prepared long time beforehand and right from the beginning a
draft budget, including all expenses, should be prepared in order to know the funds necessary.
71
Lack of funds and participants: The budget may have been too optimistic and the financing received
is not enough. The estimated attendance has resulted in a very poor real attendance. This tends to
happen in the first edition of most events.
Poor organization: The date of the event should not coincide with any other event in the same field,
even though the scopes are different, since this would result in poor attendance.
Responsibilities:
The Organizing Committee, which will appoint an organizer or will be made up of several persons,
will take full responsibility in case the overall purpose is not fulfilled, as they will authorise
payments from the very first budget to the settling of the accounts.
EXPENSES
In doing the expense part of the budget, it should be taken into account all the different concepts
needed for the organization of the event. A set of questions should be prepared in order to know the
characteristics and scope of the event.
Social Programme. How many free time activities shall we offer? Lunches and dinners,
catering, gala dinners, opening and closing ceremonies, gifts.
The venue. Where do we want to hold the event? Town Halls, boats, bars and discos,
wine cellars and vineyards, congress and convention centres, historic buildings, castles, palaces,
sport facilities, in the open air, hotels, restaurants, lounges.
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Transport Do we need any means of transport? Rent a car, chauffeurs, coaches, air
transport and special vehicles.
1. Think about the required staff you might need to organize the event
2. What do we need regarding technical equipment?
3. Which tools are we going to use to communicate the event?
4. Do we need a “social programme”? (lunch and dinners, catering, open and
closing ceremony, gifts, etc.
Once the budget is finished and the scope of the event chosen, the next step is to specify the type
of financing needed for the balance of the budget. In any type of event there are always two types
of financing: internal and external.
Internal financing: This is basically the funds belonging to the organization itself, resulting from
previous events which were profitable and from the membership fees and private funds from the
organizer.
Fees:
From the participants and attendees in the event. It is calculated in a first draft taking as a
reference a previous edition of the event or a similar one in order to foresee the income and know
the fees to charge. Moreover, it is necessary to know the contribution from institutions, however
rough the estimative may be, before the final fees are set. Fees tend to cover 50% of the total cost
of the event.
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Institutional Help:
Disadvantages with this type of grants are that they require complicated forms and endless
bureaucracy. Often, these grants are difficult to obtain because all costs need to be fully justified
beforehand and partly or wholly returned if they do not cover the costs originally awarded for.
Another important aspect of these grants is that our event should not coincide in time with similar
ones, as the sponsorship might be shared with similar events going on at the same time or simply
over.
Sometimes, the grants are part of annual budgets established long before the event takes place. It is
therefore necessary to apply long in advance and adapt our application to the amount awarded to
that purpose.
Private Sponsors: Depending on the type and scope of the event it is possible to find private
institutions (banks, saving banks, companies, sponsors, et.) to support the event partly or totally.
Sponsoring means to contribute in kind or cash in consideration for publicity and media coverage
that the sponsors will receive in the short term.
When the contribution is in kind, the costs in the examples above will be covered. For example,
the town council will pay for the expenses of the venue hire directly or a private sponsor will
cover the travelling expenses paying themselves the tickets they accepted to contribute with.
Associations: legal entities made up by partners with the same purpose who pay a membership fee
periodically with which to support this type of events.
Companies: They finance events in order to become well known in the short term. They usually
exchange their economic support for the chance to appear in the events appearing in the media.
Charities: These are non-profit legal entities which may have commercial activities devoting part
of the benefits to support cultural, social or environmental activities.
Sponsors: They offer support, either in kind or in cash, in a long term consideration. The sponsors
are the promoters and organizers of over 80% of the events arranged. Most events would not be
possible without their support.
74
Activity - Time 30 - 60 Minutes
Reading list:
Useful links:
http://www.opcspain.org
http://www.nexotur.com/conexo
http://www.iccaworld.com
75
Activity - Time 10 Minutes
In small groups identify and group together typical hazards which events might encounter: Do you
think there are added hazards depending on the location of the event, indoor, outdoor or a mix of
both?
Positional: work at height, position near water, layout of site, vehicles and use of temporary
structures
Different people may be more vulnerable to certain hazards, they may be less responsible or more
likely to take risks - consider in particular:
Children and those caring for them
Older people
Disabled people
Volunteers
Contractors
New and expectant mothers
Those whose first language is not your own
Those affected by drink / drugs / substance abuse
There are numerous methods and approaches to risk assessment forms and their completion. Below
is one such example.
Please relate such to your own existing in house assessment administrative forms and your specific
legislation and legal framework within your country.
76
Complete the risk assessment outline for the event
Use a simple Likert Scale (a numbering scale)
1 -10 for Severity (S)
1 being low and 10 high
And a Scale 1 - 5 (1 being low, and 5 high) for the Likelihood (L)
Enter what would be the existing control measures & attempt as a management team to
identify other issues.
The Severity score is likely to remain the same, the likelihood score will diminish.
Attempt to complete all grids
Detail and specificity is required here.
* Refer to Appendices for Risk Assessment Form and Risk Assessment Outline
HSG65 Health and Safety Management System adopted in the United Kingdom
Organising
Measuring Performance
Reviewing Performance
77
Organisations are or may well be required by law to have a written policy on health and safety, the
policy should have:
• A statement of intent
• A breakdown of roles and responsibilities
• Details of how risks are assessed and controlled
Events are often multi-agency activities and these elements need to be carefully co-ordinated
6.5 Organising
• There should be competent advice from specialists or consultants to address the risks.
• This element is concerned with event planning for safety via risk assessment and the proper
management and control of the risks that cannot be eliminated
• Once the role of risk assessor is resolved the event’s operational plan also needs to address
who will implement, maintain and monitor the agreed controls
• Risk assessment also needs to cope with contingencies and emergencies
• Cost of controls need to be factored into budgets
• At events, last-minute checklists are normally used to ensure all is ready for doors open /
live event
• The risk assessments need to be kept live and under review throughout the event to
accommodate any changing circumstances. Flexibility is key.
Some of this checking will be part of the implementation stage and some will feed into the
review stage
Checking that required paperwork is in place, that safety checks have been conducted as
planned and that necessary training has been completed
78
Measuring what is being done wrong - termed “reactive monitoring”
Monitoring accident records and incident reports to find patterns and weak spots
79
Appendix 6.RISK ASSESSMENT Form
Severity x
Likelihoo Severity x Action Required
Subject Hazard and To d= Existing Control Measures Likelihoo When Risks are Other
Area Effect Whom Primary d= Not Adequately Comments
Risk Residual Controlled
based on Risk
no
controls SxL=R
SxL=R
80
Date for Re-assessment .........................
RISK ASSESSMENT
Area Assessed: Music Festival 15,16 & 17 August 2008 … continues 6 pages, 28 hazards
Severity x
Likelihoo Severity x Action Required
Subject Hazard and To d= Existing Control Measures Likelihoo When Risks are Other
Area Effect Whom Primary d= Not Adequately Comments
Risk Residual Controlled
based on Risk
no
controls SxL=R
SxL=R
1. One or more Audienc Area in front of stage has During periods of The Chief
Crowd members of e in area been inspected and will be potentially high Steward at times
collapse the audience of 1 4 4 reasonably flat and free 1 2 2 risk crowd of risk will
at front falling over collapse. 0 0 from trip hazards, ground is 0 0 activity there will monitor this. It
of stage at an area of in reasonably form be high vigilance is normal
high crowd condition of the crowd in practice for
density high density area. “holes” to appear
causing in the audience.
crushing The Chief
injuries. Steward has
delegated
authority in the
event of a crowd
collapse that
does not recover
to stop the show
and liaise with
event control.
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2. Failure of Audienc Front of stage barrier to be Barriers will also
Barrier front of stage e in front approved for this be inspected to
collapse barrier of stage 1 4 4 application. All barriers 1 1 1 N/A ensure there are
at front causing area. 0 0 specified to give a right 0 0 no gaps which
of stage crowd angle loading of 5kN/m. could trap hands
collapse at Barriers to be inspected etc.
point of high prior to opening doors on
crowd each day.
density
causing
crushing
injuries.
3. Small Minor burns A dedicated team of
rubbish may patrolling stewards will
fire encourage the Audienc 2 4 8 monitor this and extinguish 2 4 8 No further
development e. small fires with water from measures
of larger portable backpacks. required.
fires.
4. Large Serious All rubbish accumulation It has become
rubbish burns, spread Audienc will be sited away from This operation common practice
fire of fire. e, 6 4 2 public access and all rubbish 6 2 1 will be monitored for fires as
working 4 will be removed before 2 and subject to described to be
personne doors open on each day. A review. started at festival
l. fire response team will be events, it is the
available on site to respond policy for the
to more serious fires, festival to
stewards will respond to minimise this as
assist emergency personnel much as
in dealing with fires. possible.
5. Motor traffic Essential site vehicles will This procedure This has been an
Vehicle accidents be issued with passes. will be subject to issue at previous
and involving Audienc 8 4 3 Vehicle curfews will be put 8 2 1 ongoing review shows. Continual
pedestria pedestrians e 2 in place at critical times. 6 from event steps are being
n causing All vehicle movement on control. taken to review
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collision serious injury site will come under steward and improve this
or death control. Emergency vehicles within practical
responding to genuine limits.
emergencies with warning
lights on will be assisted by
stewards at this time.
Severity x
Likelihoo Severity x Action Required
Subject Hazard and To d= Existing Control Measures Likelihoo When Risks are Other
Area Effect Whom Primary d= Not Adequately Comments
Risk Residual Controlled
based on Risk
no
controls SxL=R
SxL=R
• Hard criteria
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• concerns the outputs, tend to be tangible and quantitative
• Soft criteria
• concerns the process and tend to be intangible and qualitative.
What are the benefits and challenges / drawbacks for an event management organisation in using
the evaluation tools and techniques?
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Appendix Chapter 7.
Potential answers to why we should evaluate:
• to identify or solve problems
• find ways to improve management
• determine worth of the event or its programme
• measure success or failure
• identify costs and benefits
• identify and measure impacts
• satisfy sponsors, stakeholders and authorities (accountability)
• gain acceptance/credibility /support
Individually place the below sources of information for evaluation under hard (h) or soft (s) criteria
Answers to hard (h) or soft (s) criteria – some answers are debateable
• Performance specifications - h
• A positive image -s
• Total quality -s
• Resource constraints-h
• Staff commitment – s
• Visitor perceptions –s
• Management notes and commentary-s
• Sales data – h
• Visitor numbers – h
• Financial reports and accounts - h
• Deadlines -h
• A co operative attitude - s
• Ethical conduct - s
• Cost requirements- h
• Social benefits – s
• Visitor flow rates- h
• Exit surveys - s
• Visitor profiles - h
• Specific quality standards –h
• Staff and volunteer feedback - s
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